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Origin Materials, Inc. Reports Operating and Financial Results for Fourth Quarter and Full Year 2025

businesswire.com

Origin Materials, Inc. Reports Operating and Financial Results for Fourth Quarter and Full Year 2025 WEST SACRAMENTO, Calif.--( BUSINESS WIRE)--Origin Materials, Inc. (“Origin,” “Origin Materials,” or the “Company”) (Nasdaq: ORGN, ORGNW), a technology company with a mission to enable the world’s transition to sustainable materials, today announced financial results for its fourth quarter and full year ended December 31, 2025.

Commentary from John Bissell, Origin CEO:

"Last year was a challenging one for Origin that also brought meaningful progress. Our commercialization journey has taken longer than we initially anticipated, which has had a negative impact on our stock price. However, this month we delivered the latest iteration of Origin PET caps to multiple world-class beverage brands – with approximately thirty key prospects in our pipeline receiving and evaluating our latest design. The new cap design incorporates feedback from household-name beverage brands. Origin’s internal testing of these caps demonstrates marked improvement in seal performance and impact resistance in a single design, meeting industry benchmarks for pressurized water applications on key test metrics, such as ball impact and heated stress testing. Customer qualification processes for these new caps are now underway, and we anticipate related customer announcements, pending the completion of successful qualifications, with timelines varying depending on customer requirements."

"To strengthen our financial position, in November 2025 we announced a convertible debt facility with an initial tranche of $15 million in cash, with the option to raise additional capital up to $90 million total. We also announced the execution of a non-binding term sheet for $20 million of equipment financing. To date, however, due to the significant decline in our stock price since securing the convertible debt facility, we have been able to make only limited use of the equity feature of this facility to service the outstanding debt at reasonable conversion values, which we had intended to do in order to preserve our cash for operations. Servicing the outstanding debt with cash has had, and will continue to have, an adverse impact on our liquidity. Also, at recent stock price levels, we do not meet the minimum equity requirements for additional capital draws from this facility. Further, the aforementioned non-binding term sheet did not progress to a definitive agreement because the lender made material reductions to the valuation assumptions underlying the debt financing. As a result, absent near-term financing and reductions in operating expenses including reductions in force to extend our planned operations, we currently estimate that our existing cash and cash equivalents will allow us to continue our planned operations into the third quarter of 2026. Therefore, we continue to actively source equipment financing and are currently engaged with multiple prospects. In addition, we are intensifying our focus on potential strategic arrangements that we believe could help accelerate value creation from our technology for the benefit of our shareholders, including a potential business combination, equity and debt financing, divestiture of assets, technology licensing, and other arrangements."

"Despite challenging business conditions and customer adoption timelines longer than we initially anticipated, our prospective customers remain interested and engaged. These companies consume billions of caps per year and the latest cap designs, reflecting modifications which our customers requested, are now in their hands undergoing testing. For those new to Origin, our technology platform produces what we believe are the only commercially scalable PET bottlecaps, as opposed to the HDPE and polypropylene caps which today dominate the over $65 billion closures market. Our platform excels in seven areas: recyclability, oxygen and CO2 barrier (enabling longer shelf-life), closure diameter (enabling more economic large formats), thickness (enabling lighter weight), rigidity (premium feel), use of recycled content, and optical clarity."

Company Fourth Quarter and Recent Business Highlights

Results for Fourth Quarter and Full Year 2025

Cash, cash equivalents, and marketable securities were $53.5 million as of December 31, 2025.

The net accounts receivable balance of $13.0 million at December 31, 2025, is comprised of receivables associated with the Company’s legacy supply chain activation program being wound down in 2025. Concurrent with the wind-down of the supply chain activation program, we expect to collect all related net receivables in due course, resulting in a significant source of cash.

Additionally, as of December 31, 2025, the Company had $9.1 million of land held for sale in Geismar, Louisiana. We are actively seeking the sale of this land which would result in an additional significant source of cash.

As of December 31, 2025, the Company had $15.0 million in convertible debt outstanding.

Revenue for the fourth quarter was $3.0 million compared to $9.2 million in the prior-year period, due to the planned reduction in the Company’s supply chain activation program.

Revenue for the full year was $18.9 million compared to $31.3 million in the prior full year, due to the planned reduction in the Company’s supply chain activation program.

Operating expenses for the fourth quarter were $194.7 million compared to $16.2 million in the prior-year period, an increase of $178.4 million primarily due to an increase in non-cash impairment of assets expense of $178.8 million. Concurrent with the decision to cease further investment in our furanics platform, we evaluated the Origin 1 and Origin 2 assets to estimate their current fair market value, which resulted in the recognition of a $165.9 million impairment of assets expense.

Full year 2025 operating expenses were $259.6 million compared to $85.3 million in the prior full year, an increase of $174.4 million driven primarily by the non-cash impairment expense of $178.8 million recognized in the fourth quarter of 2025.

Net loss was $194.1 million for the fourth quarter compared to $13.5 million in the prior-year period, an increase of $180.6 million primarily due to the $165.9 million non-cash impairment of assets expense related to the fair market evaluation of the furanics assets. Full year 2025 net loss was $249.7 million compared to net loss of $83.7 million in the prior full year.

Adjusted EBITDA loss was $10.8 million for the fourth quarter compared to $10.5 million in the prior-year period. Full year Adjusted EBITDA loss was $43.4 million compared to $48.4 million in the prior year period.

Shares outstanding as of December 31, 2025 were 5.2 million, adjusted for the one-for-thirty reverse stock split effected in March 2026.

For a reconciliation of non-GAAP figures to the applicable GAAP figures, please see the table captioned ‘Reconciliation of GAAP and Non-GAAP Results' set forth at the end of this press release. We have not reconciled our guidance for non-GAAP run-rate Adjusted EBITDA to GAAP due to the uncertainty and potential variability of reconciling items such as stock-based compensation. As a result, a reconciliation is not available without unreasonable effort and we are unable to address the probable significance of the unavailable information.

Webcast and Conference Call Information

Company management will host a webcast and conference call on March 27, 2026, at 5:00 p.m. Eastern Time, to discuss the Company's financial results.

Interested investors and other parties can listen to a webcast of the live conference call by logging onto the Investor Relations section of the Company's website at https://investors.originmaterials.com/.

The conference call can be accessed live over the phone by dialing +1-844-676-8020 (domestic) or +1-412-634-6957 (international). A telephonic replay will be available approximately three hours after the call by dialing 1-844-512-2921, or for international callers, +1-412-317-6671. The conference ID for the live call and pin number for the replay is 10206659. The replay will be available until 11:59 p.m. Eastern Time on April 10, 2026.

About Origin Materials, Inc.

Origin is a technology company with a mission to enable the world’s transition to sustainable materials. Our innovations include PET caps and closures that bring recycling circularity and enhanced performance to a ~$65 billion market. For more information, visit www.originmaterials.com.

Non-GAAP Financial Information

To supplement the Company’s financial results presented in accordance with generally accepted accounting principles in the United States ("U.S. GAAP"), the Company also uses non-GAAP financial measures, including Adjusted EBITDA, as supplemental measures to review and assess the Company’s operating performance. Adjusted EBITDA is defined as net loss adjusted for (i) stock-based compensation, (ii) depreciation and amortization, (iii) impairment of assets, (iv) investment income, (v) interest expenses, (vi) change in fair value of derivatives, (vii) change in fair value of common stock warrants liability, (viii) change in fair value of earnout liability, (ix) change in fair value of convertible notes, (x) other expenses, net, (xi) income tax provision and (xii) cash severance.

The Company believes that the presentation of Adjusted EBITDA is appropriate to provide additional information to investors about our operating profitability adjusted for certain non-cash items, non-routine items that the Company does not expect to continue at the same level in the future, as well as other items that are not core to the Company’s operations. Further, the Company believes Adjusted EBITDA provides a meaningful measure of operating profitability because the Company uses it for evaluating the Company’s business performance, making budgeting decisions, and comparing performance against that of other peer companies using similar measures.

Non-GAAP financial measures are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP. These non-GAAP financial measures have limitations as analytical tools, and when assessing the Company’s operating performance, investors should not consider them in isolation. In addition, calculations of this non-GAAP financial information may be different from calculations used by other companies, and therefore comparability may be limited.

The Company mitigates these limitations by reconciling the non-GAAP financial measures to the most comparable U.S. GAAP performance measures, all of which should be considered when evaluating our performance.

For more information on Adjusted EBITDA, please see the table captioned “Reconciliation of GAAP and Non-GAAP Results” set forth at the end of this press release.

Cautionary Note on Forward-Looking Statements

This press release contains certain forward-looking statements within the meaning of the federal securities laws. Forward-looking statements generally are accompanied by words such as “believe,” “may,” “will,” “estimate,” “continue,” “anticipate,” “intend,” “expect,” “should,” “would,” “plan,” “predict,” “project,” “potential,” “seem,” “seek,” “target,” “future,” “outlook,” and similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These forward-looking statements include, but are not limited to, statements regarding Origin’s ability to continue to fund its planned operations into the third quarter of 2026 and ability to extend its planned operations beyond the third quarter of 2026; Origin’s business strategy, commercial, operating, and product development plans and announcements of such plans, anticipated customer demand, the impact of tariffs on our business, revenue potential, the projection that Origin will achieve breakeven run-rate Adjusted EBITDA results in 2028, pace and anticipated timing of bringing Origin’s CapFormer lines online and anticipated revenue generated from such systems, the impact of anticipated improvements to Origin’s CapFormer lines, ability of Origin’s products to complete customer qualification on time or at all, anticipated timing of commercializing Origin’s products and delivering those products to customers, estimated total addressable market, anticipated benefits of and demand for Origin’s potential products, ability to convert potential customer interest into revenue, expectations about Origin’s future financing arrangements, including Origin’s ability to enter into financing arrangements on favorable terms, the outcome of Origin’s evaluation of strategic alternatives and the ability of such strategic alternatives to enhance shareholder value, access to manufacturing capacity, marketing and distribution capabilities, or strategic capital, or address the gap between indicated product demand and production capacity, anticipated growth and projected financial information. From time to time, the Company discloses approximate levels of customer demand based on information received from current and potential customers as to amounts of product they wish to purchase at a certain price over a certain term in the future. The Company does not discount such indications of customer demand by the likelihood of their conversion to actual revenue or the time until such conversion. Some customers may overstate the amount of product they wish to purchase and one should not assume that demand figures disclosed by the Company will necessarily translate into comparable levels of revenue. The forward-looking statements are based on various assumptions, whether or not identified in this press release, and on the current plans, objectives, estimates, expectations, and intentions of the management of Origin and are not predictions of actual performance and inherently involve significant risks and uncertainties. These forward-looking statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on as, a guarantee, an assurance, a prediction, or a definitive statement of fact or probability. Actual events and circumstances are difficult or impossible to predict and will differ from assumptions. Many actual events and circumstances are beyond the control of Origin. These forward-looking statements are subject to a number of risks and uncertainties including, but not limited to, the fact that Origin may be unable to successfully commercialize its products; the effects of competition, tariffs, and other trade restrictions on Origin’s business; the uncertainty of the projected financial information with respect to Origin, particularly given the rapidly changing tariff landscape; disruptions and other impacts to Origin’s business. Other factors that could adversely affect the Company’s operations include those discussed in Origin’s Annual Report on Form 10-K to be filed with the U.S. Securities and Exchange Commission (“SEC”) on March 30, 2026 under the heading “Risk Factors,” and other documents Origin has filed, or will file, with the SEC. These filings, when available, are available on the investor relations section of our website at investors.originmaterials.com and on the SEC’s website at www.sec.gov. If any of these risks materialize or Origin’s assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that Origin does not presently know or currently believes are immaterial that could also cause actual results to differ from those contained in the forward-looking statements. Given these risks and uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. Origin undertakes no obligation to revise or publicly release the results of any revision to these forward-looking statements, except as required under applicable law. These forward-looking statements should not be relied upon as representing Origin’s assessments of any date subsequent to the date of this press release. Accordingly, undue reliance should not be placed upon the forward-looking statements.

ORIGIN MATERIALS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands, except share and per share data)

December 31,

2025

December 31,

2024

ASSETS

Current assets

Cash and cash equivalents

$

32,923

$

56,307

Marketable securities

20,545

46,613

Accounts receivable net of allowance for credit losses of $828 and $1,230, respectively

13,049

19,179

Other receivables

2,101

2,526

Inventory

684

866

Prepaid expenses and other current assets

2,448

2,401

Land held for sale

9,126

11,282

Total current assets

80,876

139,174

Property, plant, and equipment, net

72,852

203,919

Operating lease right-of-use asset

3,149

3,735

Intangible assets, net

32

73

Deferred tax assets

621

Other long-term assets

751

30,505

Total assets

$

157,660

$

378,027

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current liabilities

Accounts payable

$

3,568

$

2,921

Accrued expenses

4,947

2,779

Operating lease liabilities, current

306

323

Notes payable, short-term

4,511

3,772

Convertible notes, net of issuance costs

14,970

Other liabilities, current

231

2,754

Total current liabilities

28,533

12,549

Earnout liability

24

2,486

Canadian Government Research and Development Program liability

16,776

14,399

Common stock warrants liability

167

4,566

Notes payable, long-term

4,386

1,730

Operating lease liabilities

3,533

3,858

Other liabilities, long-term

30

74

Total liabilities

53,449

39,662

STOCKHOLDERS’ EQUITY

Preferred stock, $0.0001 par value, 10,000,000 shares authorized; no shares issued and outstanding as of December 31, 2025 and 2024

Common stock, $0.0001 par value, 1,000,000,000 shares authorized; 5,173,884 and 4,952,476, issued and outstanding as of December 31, 2025 and 2024, respectively (including 50,000 and 100,000, respectively, of Sponsor Vesting Shares)

15

15

Additional paid-in capital

402,378

393,186

Accumulated deficit

(287,825

)

(38,127

)

Accumulated other comprehensive loss

(10,357

)

(16,709

)

Total stockholders’ equity

104,211

338,365

Total liabilities and stockholders’ equity

$

157,660

$

378,027

ORIGIN MATERIALS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS

(Unaudited)

Three Months Ended

December 31,

Year Ended December 31,

(In thousands, except share and per share data)

2025

2024

2025

2024

Revenues:

Products

$

3,022

$

9,222

$

18,922

$

31,279

Services

3

Total revenues

3,022

9,222

18,922

31,282

Cost of revenues (exclusive of depreciation and amortization shown separately below)

2,933

9,210

18,381

30,864

Operating expenses:

Research and development

3,842

3,216

13,749

18,554

General and administrative

9,158

10,155

39,074

40,766

Depreciation and amortization

2,843

2,769

11,175

10,715

Impairment of assets

178,816

76

195,636

15,246

Total operating expenses

194,659

16,216

259,634

85,281

Loss from operations

(194,570

)

(16,204

)

(259,093

)

(84,863

)

Other income (expenses):

Investment income

806

1,336

4,014

6,783

Interest expenses

(17

)

(58

)

(123

)

(371

)

Gain (loss) in fair value of derivatives

53

(15

)

290

Gain (loss) in fair value of common stock warrants liability

351

(312

)

4,399

(3,225

)

Gain (loss) in fair value of earnout liability

1,698

2,462

(703

)

Gain in fair value of convertible notes

5

5

Other (expenses) income, net

(339

)

231

(726

)

(939

)

Total other income, net

806

2,948

10,016

1,835

Loss before income tax provision

(193,764

)

(13,256

)

(249,077

)

(83,028

)

Income tax provision

(364

)

(266

)

(621

)

(669

)

Net loss

(194,128

)

(13,522

)

(249,698

)

(83,697

)

Other comprehensive income (loss):

Unrealized gain (loss) on marketable securities

(15

)

(13

)

679

2,197

Foreign currency translation adjustment

1,242

(9,267

)

5,673

(12,974

)

Total other comprehensive income (loss)

1,227

(9,280

)

6,352

(10,777

)

Total comprehensive loss

$

(192,901

)

$

(22,802

)

$

(243,346

)

$

(94,474

)

Net loss per share, basic

$

(38.54

)

$

(2.82

)

$

(50.55

)

$

(17.54

)

Net loss per share, diluted

$

(38.54

)

$

(2.82

)

$

(50.55

)

$

(17.54

)

Weighted-average common shares outstanding, basic

5,036,571

4,801,886

4,939,958

4,773,088

Weighted-average common shares outstanding, diluted

5,036,571

4,801,886

4,939,958

4,773,088

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

Year Ended December 31,

(in thousands)

2025

2024

Cash flows from operating activities

Net loss

$

(249,698

)

$

(83,697

)

Adjustments to reconcile net loss to net cash used in operating activities:

Depreciation and amortization

11,175

10,715

Provision for credit losses

744

1,230

Stock-based compensation

8,914

10,080

Loss on reserves

639

Impairment of assets

195,636

15,246

Realized loss on marketable securities

228

946

Amortization of premium and discount of marketable securities, net

(139

)

(190

)

Change in fair value of derivative

15

(290

)

Change in fair value of common stock warrants liability

(4,399

)

3,225

Change in fair value of earnout liability

(2,462

)

703

Change in fair value of convertible notes

)

Deferred tax provision

621

640

Other non-cash expenses

783

518

Changes in operating assets and liabilities:

Accounts receivable net and other receivables

5,810

(3,359

)

Inventory

182

46

Prepaid expenses and other current assets

(272

)

2,397

Other long-term assets

213

(4,750

)

Accounts payable

(1,160

)

373

Accrued expenses

1,529

(3,590

)

Operating lease liabilities

(311

)

(350

)

Other liabilities, current

(154

)

(1,362

)

Other liabilities, long-term

(43

)

Net cash used in operating activities

(32,793

)

(50,830

)

Cash flows from investing activities

Purchases of property, plant, and equipment

(30,207

)

(8,953

)

Proceeds from land held for sale

2,117

Proceeds from sale of property, plant, and equipment

341

Purchases of marketable securities

(1,067,964

)

(1,817,317

)

Sales of marketable securities

1,077,050

1,751,508

Maturities of marketable securities

17,595

103,321

Net cash (used in) provided by investing activities

(1,068

)

28,559

Cash flows from financing activities

Payment of notes payable and other liabilities

(6,272

)

(4,793

)

Proceeds from convertible notes

15,000

Proceeds from Canadian Government Research and Development Program

1,678

8,097

Proceeds from exercise of stock options

253

252

Net cash provided by financing activities

10,659

3,556

Effects of foreign exchange rate changes on the balance of cash and cash equivalents held in foreign currencies

(182

)

(480

)

Net decrease in cash and cash equivalents

(23,384

)

(19,195

)

Cash and cash equivalents beginning of the period

56,307

75,502

Cash and cash equivalents end of the period

$

32,923

$

56,307

Origin Materials, Inc.

Reconciliation of GAAP and Non-GAAP Results

Three Months Ended December 31,

Year Ended December 31,

(in thousands)

2025

2024

2025

2024

Net loss

$

(194,128

)

$

(13,522

)

$

(249,698

)

$

(83,697

)

Stock-based compensation

2,100

2,369

8,914

10,080

Depreciation and amortization

2,843

2,769

11,175

10,715

Impairment of assets

178,816

76

195,636

15,246

Investment income

(806

)

(1,336

)

(4,014

)

(6,783

)

Interest expenses

17

58

123

371

(Gain) loss in fair value of derivatives

(53

)

15

(290

)

(Gain) loss in fair value of common stock warrants liability

(351

)

312

(4,399

)

3,225

(Gain) loss in fair value of earnout liability

(1,698

)

(2,462

)

703

Gain in fair value of convertible notes

(5

)

)

Other expenses (income), net

339

(231

)

726

939

Income tax provision

364

266

621

669

Cash severance

484

455

Adjusted EBITDA

$

(10,811

)

$

(10,507

)

$

(43,368

)

$

(48,367

)